How To Fix WS114 - Balance of &1 &2 exists between tax codes &3 and &4

SAP Error Message - Details

• Message type: E = Error

• Message class: WS - Supplier Billing Document

• Message number: 114

• Message text: Balance of &1 &2 exists between tax codes &3 and &4

What causes this issue?

The system automatically checked whether the tax amount for input tax
code &V3& was identical with that for output tax code &V4&. It found a
balance of &V1& &V2&.

System Response

The system does not accept your entries.

How to fix this error?

Check your tax codes. If they are corred, and you want to work with
differing tax amounts, set the "Different tax" indicator in Customizing
for settlement process types.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message WS114 - Balance of &1 &2 exists between tax codes &3 and &4 ?

  Certainly! Here's a detailed explanation of the SAP error message:
  
  SAP Error Message:
  WS114 Balance of &1 &2 exists between tax codes &3 and &4
  
  Meaning / Cause:
  This message typically occurs during tax or financial document processing in SAP, especially in the context of tax code clearing or tax account reconciliation.
  
  The system has detected that there is a balance (open amount) between two tax codes (&3 and &4) for a particular combination of company code (&1) and fiscal year (&2).
  This means that the tax amounts for these two tax codes are not fully cleared or offset against each other, resulting in an open balance.
  It often arises when you try to clear or reconcile tax accounts, or during tax reporting, and the system expects these tax codes to be balanced (net to zero) but finds a difference.
  
  
  Typical Scenarios:
  
  When performing tax clearing or tax account reconciliation.
  During posting or clearing of tax-related documents.
  When running tax reports or validations that require tax codes to be balanced.
  When there are manual adjustments or incorrect postings between tax codes.
  
  
  Solution / How to Resolve:
  
  
  Check the Tax Code Balances:
  
  Use transaction codes like FBL3N (G/L Account Line Item Display) or S_ALR_87012342 (Tax Report) to analyze the balances of the tax codes mentioned.
  Verify if there are open items or uncleared amounts between the tax codes &3 and &4.
  
  
  
  Clear or Adjust Open Items:
  
  If there are open items, try to clear them using F-03 (Clear G/L Account) or appropriate clearing transactions.
  Post adjustment entries if necessary to balance the tax codes.
  
  
  
  Review Tax Configuration:
  
  Check the tax code configuration in OB40 or FTXP to ensure that the tax codes are correctly set up and linked.
  Verify if the tax codes are supposed to offset each other or if they should be cleared separately.
  
  
  
  Check Document Postings:
  
  Review the documents or invoices posted with these tax codes to identify any incorrect postings or missing clearing entries.
  
  
  
  Consult Tax or Finance Team:
  
  Sometimes, the issue might be due to business process or tax policy changes. Coordinate with the tax or finance department to understand if the balances are expected or need correction.
  
  
  
  
  Additional Information:
  
  
  The placeholders in the message:
  
  &1 = Company Code
  &2 = Fiscal Year
  &3 = First Tax Code
  &4 = Second Tax Code
  
  
  
  This message is a warning or error to prevent incorrect tax reporting or reconciliation.
  
  
  Proper clearing of tax accounts is essential for accurate tax reporting and compliance.
  
  
  
  Summary:
  
  
  
  Aspect
  Details
  
  
  
  
  Cause
  Open balance exists between two tax codes for a company code and fiscal year.
  
  
  Effect
  Prevents clearing or reconciliation of tax accounts; may cause incorrect tax reporting.
  
  
  Solution
  Analyze and clear open items, adjust postings, verify tax code configuration.
  
  
  Transactions
  FBL3N, F-03, S_ALR_87012342, OB40, FTXP
  
  
  
  
  If you provide the exact context or transaction where this error occurs, I can help with more specific steps.